Petrol marketers have attributed the latest fuel scarcity in Nigeria to supply challenges from the Nigerian National Petroleum Company (NNPC) Limited, the country’s sole importer of Premium Motor Spirit (PMS).
The scarcity has led to increased fuel prices and long queues at filling stations, disrupting traffic and doubling transport fares.
Billy Gillis-Harry, National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), spoke on behalf of the marketers during an interview on Channels Television’s ‘The Morning Brief’ on Tuesday.
He stated that the marketers have had to procure petrol from depot owners at higher prices due to the NNPC’s supply constraints.
The NNPC has blamed the scarcity on “adverse weather conditions” and “flooding,” but the resulting long queues have caused significant traffic disruptions and inconvenience for commuters.
In Lagos, NNPC filling stations are selling petrol at about N570 per litre, while independent marketers have increased their prices from N615 to over N650 per litre, with prices even higher in Abuja and other states.
Gillis-Harry emphasized that the NNPC has not changed its prices but noted that supply challenges have forced marketers to buy from depots, leading to price increases.
He added that the NNPC is currently upgrading its platform, which should resolve the issue soon. However, he stressed that the current challenges are supply-based.
“If there is anybody to be blamed, it should be a blame from the source of the products because retailers only sell what we are given; we do not import or refine,” Gillis-Harry stated.
He highlighted that the cost of logistics, particularly diesel used by fuel trucks, has become more expensive, suggesting that the government should subsidize logistics costs for fuel distribution across Nigeria.
Gillis-Harry also refuted allegations that petrol marketers are exploiting Nigerians by hiking prices, stating that the highest price for petrol should not exceed N680.
“I would expect that the highest price in petroleum where the depots operate – Lagos, Delta, Calabar, Rivers State – should be anything between N620 to N680 maximum. And when you add all the transportation issues that should take it from state to state, you can then look at the incremental additions that can come in, and make us not to be selling at N1,000,” he said.
Gillis-Harry also pointed out that forex shortages have hampered the importation of petroleum products, limiting the full operationalization of the sector’s deregulation.
He called for patience and understanding from Nigerians, assuring that the current fuel shortages would be resolved soon.